Tax This! It’s Your Money, Not the IRS’s!

CM was the victim of an IRS audit. While she was busy operating her large janitorial business, she left her books and records to the hands of her trusty accountant. As luck would have it, her “less than competent” accountant had no solid documentation of her business transactions, and the IRS was now claiming she owed more than $2.5 million in back taxes, penalties, and interest.

That’s when CM found US-iTap.

Through a process called an “offer in compromise,” US-iTap was able to convince the IRS and the State of Colorado to drop the $2.5 million in tax liabilities in exchange for $1,000 each.

Needless to say, CM was ecstatic with the results. Not only did US-iTap help her with her tax situation, his guidance led her to a new career. “I am now beginning a successful real estate business as the result of US-iTap help and advice,” comments CM.

The Pains of Procrastination

DM was a self-employed chiropractor running a busy and successful practice. He was just busy enough that he put off paying his quarterly tax payments, thinking he could easily pay his tax debt during the following tax season.

What DM didn’t account for was the major injury he was about to suffer. The injury prevented him from working for a lengthy period of time.

“I owed the IRS more than $72,000 in back taxes,” says DM. “US-iTap was able to get the IRS to accept $4,000 to eliminate the debts. As a result of working out the tax problems with US-iTap, my business is performing so well, I don’t need to worry about the IRS any longer.”

When Ignorance Is NOT Bliss

Like many small business owners, RB was vastly overpaying his yearly taxes. In this particular case, his overpayments were close to $10,000 per year. The reason? Ignorance…he wasn’t aware of all the business deductions he was entitled to, nor did he want to be flagged for an audit.

“I always handled my own taxes as a small business owner and consultant,” says RB. “However, now that I have US-iTap handling my tax issues, I can concentrate on my business and leave the tax issues to him.”

RB adds, “He’s already saved me more money in the last three years than he will charge me for the next decade.”

A Deficient Decade

JR is the sole proprietor of a lucrative tile and flooring business in the Denver area.

Like many young entrepreneurs, JR married the woman of his dreams and was ready to buy his first home. But…the banks wanted to see tax returns to verify his yearly income. Unlike many young entrepreneurs, JR hadn’t filed taxes for close to 10 years.

The IRS was onto him. Like many non-filing tax situations, the IRS was considering prosecuting JR for the willful failure to file income tax returns, a criminal violation. “I missed filing tax returns for a few years and panicked,” states JR. “The IRS caught up to me, and I thought I would go to jail.”

US-iTap saved the day for JR. He prepared all the back tax returns and got the IRS to accept the returns without filing any criminal charges. “We are now working out a payment arrangement with the IRS, so I will be able to keep working in my tile and flooring business,” JR concludes.

What Goes “In,” Can Also Come Out

An East Coast couple frequently heads to Atlantic City to enjoy recreational gambling. During a particularly “lucky” year, they won several slot machine jackpots totaling close to $40,000.

When tax time came around, they dutifully added this income on their 1040 form. This obviously increased the amount they owed in taxes.

A year or two later, the couple was introduced to the tax services offered by US-iTap. One of the services, called The Three-Year Review, allowed the couple to have US-iTap review their three prior tax returns to check for missed deductions.

When US-iTap got to the year of the $40,000 in jackpot winnings, he instantly knew he could help them. The couple was aware that the money you put in to the slot machines is just as notable on a tax form as any money that comes out.

The couple was able to claim close to $40,000 in gambling losses that same year. This resulted in a refund check from the IRS for the

$10,000 they overpaid in taxes plus the interest accrued since the year of overpayment.

Even the IRS Procrastinates

TA owns a construction business in a small town in Colorado. During a prior tax year, the IRS determined he owed a significant amount of money in additional taxes. TA neglected to make the payment and now, several years later, the IRS was taking action to collect the funds.

The IRS placed a lien on his construction business, tying up his ability to purchase new equipment or obtain additional funds for normal business operations.

“I wasn’t sure if the IRS could go after old tax debts,” TA said. In this case, it turned out they couldn’t.

US-iTap became involved on behalf of TA. The IRS backed off and admitted they could not collect the debts. The back taxes owed were beyond the 10-year statute of limitations for the collection of taxes… the IRS had waited too long to take action. The IRS released the liens on his construction business, and TA was able to resume full operation.